10 Withholding and recovery of aid and termination
1 Where any person, with a view to obtaining the payment of aid under these Regulations to himself or any other person, makes any statement or furnishes any information which is false or misleading in a material respect, the Secretary of State may withhold the whole or any part of any aid payable to that person or to such other person and may recover the whole or any part of any aid already paid to that person or to such other person.
2 Where a beneficiary—
(a) fails to comply with any of the management obligations;
(b) fails without reasonable excuse to permit entry and inspection by an authorised person or to render all reasonable assistance to such authorised person as required by regulation 9; or
(c) fails without reasonable excuse to comply with any provisions of these Regulations,
the Secretary of State may withold the whole or any part of any aid payable to that beneficiary and may recover the whole or any part of any aid already paid to him.
3 Where the Secretary of State withholds or recovers any aid under paragraph (1) or (2) above, the Secretary of State may also treat as terminated the undertakings given by the beneficiary under these Regulations.
4 Before withholding or recovering any aid under paragraph (2)(a) above, the Secretary of State shall—
(a) give to the beneficiary a written explanation of the reasons for the proposed withholding or recovery;
(b) afford the beneficiary an opportunity of appearing before and being heard by a person appointed for that purpose by the Secretary of State; and
(c) consider the report by the person so appointed and supply a copy of the report to the beneficiary.